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dc.contributor.authorKaya, Ozgur
dc.description.abstractThe link between foreign aid, economic growth and poverty reduction has been a controversial issue with no consensus so far. In this dissertation, I disaggregate the aid variable into several categories, including aid given to the agricultural sector, to investigate the response of both economic growth and a poverty indicator to changes in sector-specific foreign aid. Using the Generalized Method of Moments estimation technique on cross sectional time series country data, I find that aid given to the agricultural sector is positively and significantly related to growth. Using the estimates of aid impact, a country with the average level of aid would have a per capita GDP growth rate that is 0.76 to 2 percentage points higher than a country receiving zero agricultural aid over a four year period. I also find that aid given to the agricultural sector affects poverty both directly and indirectly through increased pro-poor expenditure. A 1 percentage point increase in agricultural aid’s share in GDP will result in a 0.17 percentage point decrease in the poverty headcount ratio directly, and a 0.09 percentage point decrease through increases in pro-poor expenditures.
dc.subjectAgricultural Aid
dc.subjectEconomic Growth
dc.subjectPoverty Reduction
dc.subjectPro-Poor Expenditure
dc.subjectGrowth Model
dc.titleAid to agriculture, economic growth and poverty reduction
dc.description.departmentAgricultural and Applied Economics
dc.description.majorAgricultural Economics
dc.description.advisorLewell F. Gunter
dc.description.committeeLewell F. Gunter
dc.description.committeeJack E. Houston
dc.description.committeeGlenn C. W. Ames

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